Preheat your oven to 350°F (175°C) and line a baking sheet with parchment paper.

In a large bowl, cream together the softened unsalted butter and powdered sugar until light and fluffy. Add vanilla extract and mix thoroughly.

In a separate bowl, whisk together all-purpose flour, baking powder, salt, and optional cornstarch.

Gradually add the dry ingredient mixture to the creamed butter mixture, mixing until a cohesive dough forms.

Gently fold in the finely chopped pistachios and dried cranberries.

Shape the dough into small balls and make a hole in the center of each ball to create a wreath form.

Arrange the cookies on the prepared baking sheet with space apart. Bake for 12-15 minutes until the edges are light golden brown.

Transfer the baked cookies to a wire rack to cool completely. Decorate with additional chopped pistachios and dried cranberries, then dust with powdered sugar.